Beginning with the 2025 tax year (for returns filed in 2026), eligible workers can deduct up to $25,000 in reported tip income from their federal taxable income.

The final regulations list more than 70 separate occupations of tipped workers, from bartenders to clowns to golf caddies.

Tax returns filed in 2026 will be the first with President Donald Trump’s “No Tax on Tips” policy in effect — and it may be confusing for some filers because not all tipped occupations qualify and ...

About 1 in 10 American workers are earning a living as a gig worker. That means they find their customers through Lyft, DoorDash, TaskRabbit and other digital platforms, or do another form of what the ...

The “One Big Beautiful Bill” Act included some changes to the way tips and overtime are taxed, and there are a lot of questions about it. CPA and TurboTax expert Lisa Greene-Lewis offers some clarity ...

Preparing a 2025 tax return is likely to take more time, as workers who received tips or overtime pay in 2025 figure out what qualifies for new tax breaks. IRS gives some very specific examples in ...

Section 224 was pitched as relief for tipped workers. But evolving IRS guidance and technical limitations have made the deduction far more complicated for the self-employed. The One Big Beautiful Bill ...

Budtenders and other cannabis shop workers don't qualify for "No Tax on Tips." Declared tips must be voluntary so mandatory gratuities common for large parties are excluded. IRS guidance remains ...